8 ways to reduce your recruitment costs
A top priority for business owners is to reduce recruitment costs.
When I work with businesses it’s often the first question I’m asked. How can I reduce the costs of recruitment and still attract the very best talent?
Here are 8 ways to reduce recruitment costs and secure the right candidates for your business to help you meet your business goals.
1. Utilise your existing people – Happy and engaged employees will know lots of people who could be your next potential employee. Internally referred candidates are proven to achieve a longer service than externally sourced candidates
2. Introduce a refer a friend scheme – Financially reward colleagues for making referrals. The average cost to recruit a new team member is £30000, so try to make it a real incentive with a sizeable cash reward.
3. Use social media to recruit – Utilise your Facebook, LinkedIn and Twitter presence to attract new talent. Not only is it low cost, it will improve and enhance your company profile and be seen by your existing and potential new customers. 61% of all Internet searches are now on mobile devices, this is a huge potential source of great candidates.
4. Use the right method to recruit – Be creative and open minded with your methods. More specialist roles may require specialise help. Make the most of your time by identifying which roles to outsource early.
5. Know what you’re looking for – Create a detailed job specification and stick to it. Additional costs and delays can occur when the requirements from a candidate are not clear.
6. Be transparent with candidates – This applies to both the job role and the company culture. Any surprises can can make a new starter uncomfortable and may result in the employee leaving early. Being honest about the job and the culture will save you time and money
7. Build yourself a talent pool – If you’re often recruiting for the same role, build a talent pool. Retain the CV’s and details of good candidates so next time the role is available you have a head start. Make your intentions clear to the candidate for data protection compliance.
8. Retain your people – Nurture them and keep them happy. This can be the best way to save money recruiting. Try to be proactive with performance reviews and reward your staff for good performance. Often simple appreciation of good work will go a long way. Invest in your people and they will invest in your business.
Reduce your recruitment costs
A commercial HR strategy can help you recruit and retain the very best people for your business. To help you create this strategy you can work through our proven HR Health check and commercial HR 9 box model.
If you’re a business owner or department head looking to recruit and would like some help then contact Fresh Thinking for an exploratory 15 minute chat on 01332 515552.